The new owners of BHS, Retail Acquisitions, are in talks with trustees of the retailer’s pension scheme over how to plug the deficit in the pension plan.
The BHS retirement scheme, which had a £100m shortfall according to 2013 accounts, is scheduled for its triennial valuation at the end of this month. Chris Martin, chairman to the trustees of the BHS pension fund, told the Guardian that the new figure is likely to be “significantly higher than £100m”.
He added: “From the trustees’ perspective we want to know the new owners’ plans for the business, how they propose to turn it around and how they intend to fund the business. How they fund the business impacts on the pension scheme.”
Sir Philip Green disposed of the business for £1 on March 12 to Retail Acquisitions and since then they have held discussions with suppliers, credit insurers and representatives of the company’s pension fund, according to the Sunday Times.
Under Green’s ownership, BHS, supported by his Arcadia Group, paid £10m a year into the pension fund.